Cemex and Holcim Conclude Transactions

Cemex SAB de CV of Mexico and Holcim Ltd of Switzerland have closed a series of previously announced transactions with some modifications that reflect the announcement of Holcim’s proposed merger with Lafarge SA of France. Holcim will acquire Cemex’s operations in western Germany while Cemex will take over Holcim’s business in the Czech Republic as previously announced. In Spain the two companies will no longer form a joint organization as initially planned. Instead, Cemex will purchase Holcim’s Gador cement plant and its Yeles grinding station, while Holcim will keep its remaining operations in Spain. In Germany, Holcim will continue the acquisitions of operations in the western part of the country. The transaction includes one cement plant, two grinding stations, one slag granulator, 22 aggregates locations and 79 ready-mix plants. They will be combined with Holcim’s existing Northern German operations. As part of these transactions, Cemex has paid e45 million in cash to Holcim. Cemex expects a recurring improvement in its EBITDA, including synergies, of about US$20-30 million. These transactions are expected to close during the first quarter of 2015.

Volume 29 issue 1

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